Maxwell and Smart are forming a partnership. Maxwell is investing a building that has a market value of $180,000. However, the building carries a $56,000 mortgage that will be assumed by the partnership. Smart is investing $120,000 cash. The balance of Maxwell's Capital account will be:

A. $124,000.
B. $64,000.
C. $60,000.
D. $180,000.
E. $56,000.


Answer: A

Business

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